FICCI Frames 2012: Evolution of business models in the digital era

Businesses will have to retool monetising strategies in the wake of high technological advancements.

Day 2 of FICCI Frames 2012/03 had a session on evolution of business models and technologies in the digital era, where panellists spoke on how businesses will have to retool monetising strategies in the wake of high technological advancements.

As digital penetration becomes widespread, there is a need for business models to evolve.

Tarun Katial, CEO, Reliance Broadcast said that it is important to know how monetising methods can be improved. Katial quipped, "The whole concept is that of how loved or how needed. It is loved when free, but paid when needed."

Katial confessed that the Indian broadcaster still depends on advertising revenue. "But digitisation will allow content providers to think of consumers and allow them to cater to niche tastes," he said, adding that transparency will bring in serious monetisation.

LV Krishnan, CEO, TAM explained how it is easier to track consumers in digitisation, especially when consumers move across platforms. Digitisation has resulted in a few visible changes, he added.

Speaking about it, Vishal Malhotra, business head, new media (Zee Digital), ZEEL, mentioned how the company spent time tracking the users and their consumption. "We have been experimenting over the last few years and Ditto TV was introduced for linear consumption," he said.

Punitha Arumugam, group CEO, Madison specified the four 'E's of digitisation. "Digitisation should help in Expansion of ratings, Engaging the consumer better, it should be Efficient and should be Encompassing for better measurement," she explained.

Raman Kalra, director and partner, industry leader, media and entertainment, IBM Global Business Services India said that there is a need to keep on experimenting with multiple pricing strategy.

"We won't see any change overnight. First, the set-top box needs to enter a home," said Katial, on being questioned about the possibility of a rapid change. "But digitisation is clearly eating into cable operators everywhere, from Tier I cities to the farthest corner of the country, because of the superior service that it offers," he asserted.